| Illustration |
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If we take a loan of €100,000 and assume a property value of €500,000, the table
below illustrates the repayment that would be owed at the end of each year over a 20 year period (interest and capital). Amount Borrowed on Jan 1st, Year 1 - €100,000. |
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| The current fixed interest rate is 7.25% APR. |
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| The equity remaining in the property depends on the value of the property at the time the loan is repaid. In this case, the table illustrates that at the end of year 20 the loan of €383,521 is due to be repaid. The amounts remaining at the bottom of the table show the equity after the loan is repaid. |
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| Please note that the term shown below is a 20 year term used for illustration purposes only. In this example the rate is fixed for the life or lives of the customers so interest will continue to accrue at the same fixed rate for the 20 year term. |
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| The table below illustrates 4 different scenarios of 0%, 2%, 4% and 6% annual growth in the value of the house. |
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| The above table assumes the loan is repaid at the end of Year 20 and shows the 4 different Amounts Remaining where the value of the house increases by 0%, 2%, 4%, and 6% annually. |
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| See Consumer Credit Act Notices |
